| Author |
Message |
Anonymous
| | Posted on Wednesday, February 04, 2009 - 02:23 am: |    |
I’m making the transition from being a staff specifier to being an independent specs consultant!
I’m looking to base my “practice” in the North Central region – and any other region where I may find work. I will appreciate any and all suggestions, advice, caution, encouragement, words of wisdom, etc. that you, dear esteemed colleagues, can give me about getting started; marketing; getting work; setting fees; etc. |
Lynn Javoroski CSI CCS LEED® AP SCIP Affiliate
Senior Member
Username: lynn_javoroski
Post Number: 846
Registered: 07-2002
| | Posted on Wednesday, February 04, 2009 - 09:15 am: | |
There are a couple of smaller firms in the Milwaukee area that might be able to use the services of a spec writer. Once you're ready, put together an introductory letter explaining your services and fees. I might be willing to help with some contact info if I know who you are, what your credentials are, what your level of knowledge is, what your reputation is, etc. I'm the Membership Chair of the Milwaukee Chapter. |
Colin Gilboy
Senior Member
Username: colin
Post Number: 164
Registered: 09-2005
| | Posted on Wednesday, February 04, 2009 - 09:19 am: | |
If you want to contact another member of this forum, send me an email with your information and I will pass it along.
Colin Gilboy
Publisher, 4specs.com
435.654.5775 - Utah
800.369.8008 |
Anonymous
| | Posted on Wednesday, February 04, 2009 - 11:42 am: | |
Thanks, Lynn. Colin graciously offered to pass my contact info. along and I have forwarded it to him. Yes, I will love to hear from you! |
John Regener, AIA, CCS, CCCA, CSI, SCIP
Senior Member
Username: john_regener
Post Number: 425
Registered: 04-2002
| | Posted on Tuesday, February 10, 2009 - 10:13 am: | |
Many, many independent specification writers ("specification consultants") began with their first client being their last employer. It's a relatively easy transition and may be a sure way to a steady but maybe reduced income.
Don't sell yourself short on fee. Find out what your last employer charged for your services. It probably is on the order of 2.2 to 2.4 times the hourly rate you receive. Don't forget that as an independent contractor you must pay both portions of Medicare and Social Security taxes, as well as income and unemployment taxes. And then there are the substantial expenses of medical, dental and disability insurances. You should factor in to your rate vacation (time off), retirement and continuing education, professional association, office equipment, continuing education, office supplies and shipping/postage expenses. Become very familiar with Schedule C in the Federal Form 1040 Income Tax Return package.
Use product reps for intelligence about opportunities for specification writing in your area. I get a few such notices each month from product reps and also unsolicited email from building product manufacturers who are seeking someone to write master specifications for their products.
You might also find opportunities with firms who produce their specs in house but who need an outside resource to update their specs to new formats and building codes.
I have been surprised to hear from spec writers who struggled about becoming independent and who finally made the leap. Many say, "I don't know why I waited. I'll never go back." Being an independent specification writer is not for everyone. One should never consider either an in-house or independent (out-house?) specification writer as being superior. Just examine your situation and decide what is best for you --- right now and in the future. |
J. Peter Jordan
Senior Member
Username: jpjordan
Post Number: 306
Registered: 05-2004
| | Posted on Wednesday, February 11, 2009 - 01:20 pm: | |
John's advice is concise and correct and ....
I would be a little more specific. Set a salary for yourself (add some to what you were making to account for the risk of being self-employeed). Add the cost of the stuff John mentioned (exclude time for vacation, continuing ed, marketing, etc.; we will get to that in a minute). Don't forget to add in the cost of a home office (floor area and power allocation, telephone, data connection, etc.). Add in some stuff for bookkeepping and accounting services, and possibly outside IT support. Total these expenses and divide by about 1500 hours for an hourly rate. This assumes that you will break even by working 1500 hours in a year directly on projects. It accounts for 500 to 600 hours of of vacation, sick leave, holidays, professional development and service, marketing, and management. This will probably come out to be the 2.2 to 2.4 times the direct hourly rate that John referenced.
If you work more hours on projects, you make more money.
I do all of my projects on a fixed fee basis, estimating the number of sections to fix the scope of the project and then factoring in an average time to develop each section. If I am very efficient, I do well.
I cannot overemphasize the requirement to have an "entrepreneurial attitude." There is a certain risk and insecurity inherent in doing the work and waiting to get paid. Even if you do business on a "pay on delivery" basis, there are times when you put a lot of work in, and the project falls apart at the last minute. This can be nerve wracking if you really are "hard wired" to expect a regular paycheck. There are also management and marketing considerations for your new venture. Not every one is really cut out for this.
Most professionals do tend to have an entrepreneurial streak and will at some time or another "go out on your own." Some come back to being employees while others are very successful. What does come home in the current economy is that while there are risks with owning a business, there are also risks to being employed. We don't think about that while times are good and we have our pick of good job offers, but when times get bad, employees must share the risks that business owners face.
I will also be willing to speak directly with you if you have any other questions. |
Anonymous
| | Posted on Friday, February 13, 2009 - 09:38 pm: | |
Thanks a lot, John and Peter. I'm taking your advice to heart and following up on your suggestions. Peter, I will like to call you in the near future and I will appreciate it if you can send me your phone number, possibly through Colin. |
Curt Norton, CSI, CCS
Senior Member
Username: curtn
Post Number: 127
Registered: 06-2002
| | Posted on Wednesday, February 18, 2009 - 11:51 am: | |
Speaking of fees, what is the range for an hourly billing rate for a specifier? I realize it will vary wildly based on size and complexity of project, but if there are basic changes to scope of work, what are some typical hourly rates in the market place? |
Marc C Chavez
Senior Member
Username: mchavez
Post Number: 336
Registered: 07-2002
| | Posted on Wednesday, February 18, 2009 - 12:15 pm: | |
When I did it I charged too little. now-days I'd charge
$100.00 per hour
Four hours per section
My division 1 and standard AIA A 201 regular rate
Owner’s f^&*ed up division 1, non-standard contract, railroad, federal, or other as negotiated
Owner’s technical sections - as negotiated (usually not worth it)
087100 – NIC
14200 – Elevators – nothing too complicated
Civil – NIC
MPE – NIC
In today’s money that would be 25K for a regular sized job. When I was doing this, circa 2000, my total overhead per month including software licenses was about $1000.00 per month which was cheap!
I went with out liability insurance and clearly stated that my liability was limited to the amount of fee paid to me.
Well that’s the short version.
Good luck. |
J. Peter Jordan
Senior Member
Username: jpjordan
Post Number: 308
Registered: 05-2004
| | Posted on Friday, February 20, 2009 - 02:15 pm: | |
Colin, please pass my contact information to annonymous so he/she can call me. |
Chris Sawyer (Unregistered Guest)
Unregistered guest
| | Posted on Tuesday, February 24, 2009 - 02:51 pm: | |
Speaking of liabilty insurance - what if any libility do you have as an independent specifier?
Do any of you independents have a general contract outline that you could share for informational purposes? Thanks |
Ronald L. Geren, AIA, CSI, CCS, CCCA, SCIP
Senior Member
Username: specman
Post Number: 739
Registered: 03-2003
| | Posted on Tuesday, February 24, 2009 - 07:13 pm: | |
I carry professional liability insurance, but I always try to include the following in my agreements when I can:
2.0 Limitations of Liability.
2.1 <Insert company Name>'s liability for any alleged negligent errors, omissions, or acts in the performance of its services is limited to the amount of fee that RLGA has collected from Client on this Project. This limitation shall apply regardless of the cause of action or legal theory pled or asserted.
2.2 <Insert Company Name>'s services shall be performed in accordance with those standards of care, skill and diligence, and those practices and procedures, which are at this time commonly followed by design professionals in performing the same or similar services in the location where the Client’s office and/or Project is located.
Ronald L. Geren, AIA, CSI, CCS, CCCA, SCIP
RLGA Technical Services
www.specsandcodes.com |
(Unregistered Guest)
Unregistered guest
| | Posted on Tuesday, February 24, 2009 - 10:01 pm: | |
Most independents that I know, do not have E&O. I choose to do so; have talked with many that go without and they says their agreements require A/E to cover under A/E's policy and/or like Ronald, have limitation language. I for one do not rely on A/E to formally notify their E&O carrier of additional insureds; in fact my E&O broker has told me that additional insureds are not possible on my E&O.
Also don't forget about indemnification clauses, arbitration/mediation... |
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